STEELASIA Manufacturing Corp. said it has awarded the engineering, procurement, and construction management (EPCM) contract for its P30-billion plant in Candelaria, Quezon, which is expected to produce over one million tons of structural steel.

SteelAsia awarded the contract to engineering company MCC Huatian Engineering & Technology Co. earlier this week, the company said in a statement on Wednesday.

SteelAsia’s plant in Candelaria is expected to commence commercial operations by 2027 and is projected to create $1.2 billion in annual savings for the country as it will produce heavy structural steel products that are currently 100% imported, it added.

“We will create around 7,000 jobs instead of giving jobs to China, Vietnam, Thailand, Korea, and Japan, our major suppliers,” said SteelAsia Chairman and Chief Executive Officer Benjamin O. Yao.

“Our carbon footprint will also be 90% lower than the traditional steelmaking process because we use recycled scrap metal and employ electric arc furnace technology,” he added.

Once operational, the Candelaria plant is expected to improve delivery lead times to projects to 1-2 weeks from the previous 3-4 months.

“This is a game changer initially for the construction and infrastructure sector since this means quicker project completion and lower costs,” Mr. Yao said.

The Candelaria plant is part of the P82-billion investment the company announced in July last year, along with its plants in Lemery, Batangas, Davao City, and Concepcion, Tarlac.

The company’s investment aims to reduce the country’s reliance on imports, create jobs, and contribute to the country’s economic growth.

SteelAsia has six manufacturing facilities that produce 3 million metric tons of finished steel a year, the company’s website showed. — Justine Irish D. Tabile